Data collected from the Directorate of Stamp Registration and Revenue suggests that 19,843 properties were registered during the four-month period
Posted 03.11.21, 01:32 AM
Residential property registration increased by 47% in the Calcutta metropolitan area during the July-October period, marking a dramatic increase in transactions after the entry into force of a reduction in stamp duties and a reduction in turnover rate.
Data collected from the Directorate of Registration and Stamp Revenue suggests that 19,843 properties were registered during the four-month period compared to 9,319 units registered in 2020.
If we compare data over 10 months – between January and October – property registration doubled in Greater Calcutta in 2021 compared to 2020, which recorded minimal transactions during the April-June period in due to the lockdown induced by Covid.
Data maintained by Knight Frank of the branch suggests that north and south Calcutta accounted for 3/4 of the total record which took place in just under four months, while Rajarhat, a major market for the residential and commercial real estate, accounted for less than 10 percent.
A 2% stamp duty reduction and circular rate reduction, which dictates tax implications, were introduced in the state budget that took place in July after the Mamata Banerjee government came to power for the third term. However, for all intents and purposes, buyers were unable to benefit from the relief scheme, aimed at stimulating growth in the real estate sector, until July 24.
The benefits were renewed from October 31 for an additional 3 months, in order to help those who could not benefit from the plan due to the puja holidays and the Covid-19 measures.
Consultants and real estate brokers say the extension until Jan. 31 would be particularly beneficial, as the winter months typically see strong sales in Calcutta. “This is a good time to go out and visit the site anytime without worrying about rain or sun, which ultimately translates into increased sales,” said Jitendra Khaitan, president of Pioneer Properties.
Shishir Baijal, Chairman and CEO of Knight Frank, said the increased sales would encourage developers to bring more projects to market, which in turn would have a multiple impact on the economy as a whole.